Housing Nonprofits Push Congress to Ease Investor Tax Credit Fights

Recent high-profile court decisions favoring nonprofits in disputes over who can buy Low-Income Housing Tax Credit properties after all the tax credits have been collected aren’t enough to fix the problem, affordable housing advocates say.

Nonprofits are pushing Congress for a legislative fix to clarify the law on whether the organizations running the housing have the right to buy the property at a low price. Advocates hope the housing tax package a bipartisan Senate duo is crafting—expected to be compiled sometime this spring—is a chance to limit future lawsuits on the issue.

“We’re trying to do everything that we can ...